Court to rule on order of CountyGlen cases
THE High Court will today rule on the order of a number of cases it has been asked to hear concerning CountyGlen.
It is understood that CounyyGlen will be asking the court to consolidate three separate actions it is taking, seeking damages of more than £2 million.
It arises from the transfer of £1.1 million of the company's money in 1992 without shareholder approval.
A High Court inspector, Mr Frank Clarke SC concluded that the transfer of £1.1 million was fraudulent.
CountyGlen is suing businessman Mr John Carway and several of his associates; solicitors Connolly, Sellors, Geraghy & Fitt and Anglo Irish Bankcorp. The firm of solicitors will seek to join Anglo Irish Bankcorp and Mr Carway as parties to the action.
It is understood that most of the parties, it not all, want the action against Mr Carway to go ahead first.
Asked whether the company would be prepared to settle out of court, CountyGlen's chief executive Mr Niall Duggan said yesterday: "There would always be a reason where one would want to look at an offer it was made. He said CountyGlen was not going into litigation for the fun of it".
He said no "substantive" settlement moves have been made by any of the parties involved.
CountyGlen expects that its legal actions will have cost £600,000 if the matter goes to court. More than £300,000 of this was incurred in actions before Mr Duggan's appointment.
Mr Duggan said a number of companies were interested in reversing into CountyGlen. He would not be specific, but said one was in Ireland and two were in Britain.
CountyGlen has an option to buy a chain of hairdressers in Britain, if shareholders approve. A company called Norview was set up to buy the chain out of liquidation. Mr Duggan said this and other options were on hold until the court actions were concluded.
CountyGlen has until March 7th to satisfy the stock exchange that it has fulfilled certain regulations or its listing will be struck off. The company will be trying to have the suspension of its shares lifted.
Meanwhile, it is understood that the company is still awaiting part of the payment for the of its share of the former Glen disposal of the Abbey site in Blackrock, Co Dublin.
CountyGlen sold its share in the property last year for £600,000. Around £200,000 had been paid by Kilberry, the site's owner. A further £150,000 will be paid when full planning permission is received and the remaining £250,000 will be paid through a deal which entails a building for CountyGlen to house its headquarters.
However, the planning permission which a company owned by Kilberry was granted last year (for a manufacturing/commercial development) is currently the subject of a planning appeal by residents and Kilberry itself.
A final decision is not e